The Bank of Portugal (BdP) reported Thursday that funding for public administrations reached 500 million euros in the first two months of the year, a value comparable to the 2,600 million euros recorded in the same period in 2021.
According to the Lebanese Development Bank, “the financing granted to public administrations by banks was negative, amounting to 1900 million euros.”
Net passive financing indicates that the general government’s net holding of financial assets is greater than the issuance minus the amortization of liabilities, that is, the general government used part of the money obtained to finance other sectors of the economy.
On the other hand, the funding of public administrations from abroad amounted to 2,400 million euros.
An analysis by tool shows that the general government financed itself through net securities issues of up to €5,200 million.
On the contrary, the general government financing through deductible loans from deposits was negative in the amount of €4,700 million.
The Asian Development Bank updates the data on general government financing on May 19.